The global reclaimed rubber market is set to witness an impressive growth rate of 10.9% over the forecasted years and anticipated to reach a valuation of around US$3.25 billion by the end of year 2032 from the current valuation of US$1.15 billion in 2022, according to a study by Future Market Insights.
The Asia Pacific region is dominant region for the said market with almost 35% of the global revenue share. Due to rising sales of personal vehicles and technology transfer into the industry, China and India have recently seen a rapid increase in automotive production.
Reclaimed rubber is created via a thermo-chemical process that softens and expands the final product. This weakens the cross-links and lowers the total viscosity. In the following years, these aspects are projected to promote the reclaimed rubber market growth. It is more suitable for situations where airtight and watertight rubber is required. In comparison to virgin butyl rubber, butyl recovered rubber vulcanises more quickly and has a higher polarity, giving it greater compatibility with other types of rubber and improved ageing resistance.
A prominent trend in the global reclaimed rubber market is the growing demand for whole tyre reclaim (WTR), which is anticipated to considerably boost the market growth over the anticipated period. Additionally, the expanding vehicle sector is stoking adoption of reclaimed rubber due to its capacity to shield against heat and harsh light, which is anticipated to further propel the growth of market value. The need for tyres and the advancement of the automotive sector are expected to emerge as the major factors for reclaimed rubber market growth.
Numerous sectors, which include the automotive, consumer items, aerospace, footwear, and others, have a significant need for reclaimed rubber products. The rise of these businesses in emerging regions has significantly accelerated market expansion globally. Additionally, the industry is being stimulated by the use of reclaimed rubber in the production of extruded goods such drain tubes and compressor discharge hoses. The growing use of recycled rubber in the production of footwear and an increase in aspiration-based shopping are driving up product demand as well.
Key Takeaways from Market Study
- The overall growth of the global reclaimed rubber market is estimated to be around US$2.2 billion over the forecast decade covering the years 2022 to 2032, by following the average CAGR of 10.9%.
- The WTR product type contributes for almost 30% of the reclaimed rubber market share and promises for higher growth opportunities during the forecast years as well.
- Asia Pacific Region contributes more than 35% of the revenue generated and dominates the global reclaimed rubber market.
Some of the well-known reclaimed rubber market players are GRP Ltd, J. Allcock & Sons Ltd, Rolex Reclaim PVT. Ltd., Fishfa Rubbers Ltd., HUXAR, Tianyu (Shandong) Rubber & Plastic Products Co., Ltd., Swani Rubber Industries, Minar Reclamation Private Limited, SRI Impex PVT. Ltd., SNR Reclamations PVT. Ltd., High Tech Reclaim PVT. Ltd., Balaji Rubber Industries (P) Ltd., and Star Polymers Inc. among others.
Recent developments in the global reclaimed rubber market are as follows:
- Bridgestone Corporation (Bridgestone) stated in April 2021 that it will invest US$135.9 Million to modernise the facilities at its Shimonoseki Plant, which makes tyres for vehicles used in mining and construction. The installation process is expected to start in 2022 and end in 2025. The updated machinery will increase security, preparation for emergencies, environmental responsibility, quality, and output. In the upcoming years, Bridgestone Corporation is anticipated to enhance its reclaimed rubber manufacturing.
- An extended supply agreement has been reached with Recyc-Quebec in October 2021 by Ecolomondo Corporation, a well-known cleantech business that tries to promote its Thermal Decomposition Process recycling technology and turnkey TDP facilities for transforming tyres, plastics, and other hydrocarbon byproducts into renewable commodities. According to the terms of the deal, Ecolomondo will provide the Hawkesbury TDP recycling plant with more than 31,000 short tonnes of end-of-life tyre feedstock that would be of roughly 80% passenger tyres and of 20% truck tyres.